1.2 The Company has one class of equity shares having a par value of Rs.5 each. Each
equity shareholder is eligible for one vote per share held. In the event of liquidation,
the equity shareholders are eligible to receive the remaining assets of the company after
distribution of all preferential amounts,in proportion to their shareholdings.

1.3 There are no unpaid amounts or calls in arreas from public, directors or officers
of the Company and no Shares were forfeited during the year.

1.4 Details of Shareholders holding more than 5% shares

Name of the Shareholders

As at 31st March, 2014

As at 30th September, 2012

No. of Shares

% Held

No. of Shares

% Held

M/S Suncap Commodities Limited

1,51,85,467

19.60

1,51,85,467

19.60

M/S Regus Impex Private Limited

1,51,85,467

19.60

1,51,85,467

19.60

M/S Salputri Commerce Private Limited

1,30,16,114

16.80

1,30,16,114

16.80

M/S Dil Rim Wheel Corporation Limited

2,35,13,100

30.35

2,35,13,100

30.35

2 RESERVES AND SURPLUS

(a) Capital Reserve

(Capital Subsidy Received from

Govt Through MNRE)

100.00

100.00

(b) Securities Premium

As per last Balance Sheet

12,427.05

165.87

Addition during the year

-

12,261.18

12,427.05

12,427.05

(c) Revaluation Reserves

As per last Balance Sheet

6,967.32

7,310.24

Transferred to Profit & Loss Account

(364.77)

(342.92)

6,602.55

6,967.32

(d) General Reserve

As per last Balance Sheet

7,864.74

8,316.49

Add: Transferred from Profit & Loss Account

-

-

7,864.74

8,316.49

Less: Proposed Dividend

-

387.36

Tax on Dividend

-

64.39

Closing General Reserve

7,864.74

7,864.74

(e) Profit & Loss Account

As per last balance sheet

(3,818.35)

2,080.14

Add: Profit for the year

397.49

(5,898.49)

(3,420.86)

(3,818.35)

Less: Appropriations

Transfer to General Reserve

-

-

Proposed dividend

-

-

Tax on dividend

-

-

-

-

(3,420.86)

(3,818.35)

Total

23,573.48

23,540.76

3A LONG TERM BORROWINGS

Secured

Syndicate Bank TL-1

-

456.67

Yes Bank Ltd.

447.00

1,260.00

Edelwise_ A/c Central Bank of India

15,157.43

10,000.00

The South Indian Bank Ltd.

5,000.00

5,000.00

Syndicate Bank TL-2

5,479.30

5,000.00

ICICI Bank Ltd.

27,961.98

27,327.12

South Indian Bank - Funded Interest

2,517.54

961.02

ICICI Bank Ltd.

998.75

Acceptence

3,162.67

-

60,724.67

50,004.81

Unsecured

Interest free - Loan from body corporates

2,114.25

392.50

Loan from Insitutions

-

-

Loan from Promoters Company

5,201.59

-

Total

68,040.51

50,397.31

Security Terms

Yes Bank Ltd. - An OTS for an amount of Rs.475 was entered into with Yes Bank on
31.03.2014. Secured by Corporate Guarantee of Monotona Tyres Limited (MTL). This is
further secured by pledge of 16,20,000 shares & Negative Lien on 37,79,400 shares of
MTL. Rate of Interest@ 15.75% payable in 36 monthly instalment from August 2012.

Central Bank of India - Secured by exclusive first charge by way of hypothecation of
Plant & Machinery & Civil works, etc. arising out of the Term Loan. Second charge
on all other existing fixed assets. Rate of Interest 14.75% p.a. repayable in 24 quarterly
installment from July, 2013.

The South Indian bank Ltd. - Secured by exclusive first charge by way of hypothecation
of Plant & Machinery & Civil works, etc. arising out of the Term Loan. Second
charge on all other existing Fixed Assets. Rate of Interest 14.4% p.a. Repayable in 24
quarterly installment from Jan 2013 however it is understood that bank has deferred the
repayment period from sep 2014

Syndicate Bank - TL II - Secured by exclusive first charge by way of hypothecation of
Plant & Machinery & Civil works, etc. arising out of the Term Loan. Second charge
on all other existing fixed assets. Rate of Interest 14.75% p.a.repayable in 24 quarterly
installment from September 2013

ICICI Bank Ltd. - 2nd Charge on the entire FA of the Company(Movable and immovable),
both present and future, providing atleast one time security cover for the proposal and
2nd charge on the entire current assets of the company to be shared on pari passu basis
with existing charge holders. Rate of interest 13% p.a. with stepped up coupon repayable
in 32 quarterly installment from 15th June, 2014.

There are outstanding dues in respect of project loans from Central Bank of india &
The South indian bank & Syndicate bank in payment of interest & principal
repayment for which the company has approached the lendors for re schedulement of
repayment and funding of interest due to delay/nonstabilisation of project, the approval
still awaited.

Rs. IN LACS

As at 31st March, 2014

As at 30th September, 2012

3B Deferred Tax Liabilities (Net)

Deferred Tax Liabilities

Depreciation

2,368.75

2,368.75

Less: Deferred Tax Assets

Disallowed under Income Tax Act, 1961

222.77

222.77

Carried forward Income Tax loss

662.91

662.91

885.68

885.68

1,483.07

1,483.07

3C OTHER LONG TERM LIABILITIES

Advance from Customer (Replacement)

134.15

2,082.76

Liability for capital expenditure

331.37

985.39

Other Payables

4,943.18

-

C & F Deposit

471.92

678.33

Total

5,880.62

3,746.48

3D LONG TERM PROVISIONS

Provision for employee benefits

1,157.24

945.49

Prov for Marketing exp

-

-

Warranty Claim

112.50

112.50

Total

1,269.74

1,057.99

4A CURRENT LIABILITIES

SHORT TERM BORROWINGS - SECURED

Cash Credit from Banks

Syndicate Bank

3,438.32

3,237.49

Punjab National Bank

2,416.11

2,380.84

State Bank of India

3,109.10

2,023.84

Oriental Bank of Commerce

1,088.55

1,322.43

Centra Bank of India (Working Capital Limits of the Company are secured by
hypothecation of Companys stock and book debts on parri passu charge on the
companys present and future fixed assets.)

0.00

2,925.89

10,052.08

11,890.49

10,052.08

11,890.49

4B TRADE PAYABLES

Acceptance

1,223.99

3,382.18

Sundry Creditors for

Micro, Small and Medium Enterprises

20.15

Others

3,896.52

8,285.09

Total

5,120.51

11,687.42

4C OTHER CURRENT LIABILITIES

Current maturities of long term debt

Oriental Bank of Commerce - Current Account

-

13.47

Interest accrued but not due

-

141.67

Interest accrued and due

73.88

259.46

Unclaimed Dividend #

20.67

22.25

Payable to Central Excise, Customs Authorities

343.66

551.97

Other Payables

2,189.75

3,457.50

Total

2,627.96

4,446.32

# These figures do not include any amounts due and outstanding, to be credited to
Investor Education and Protection Fund

Rs. IN LACS

PARTICULARS

As at 31st March, 2014

As at 30th September, 2012

4D PROVISIONS

Provisions for Superannuation/Gratuity/

Leave Encashment

105.05

105.05

Provision for Proposed Dividend

8.49

387.36

Provision for Tax on Dividend

4.06

65.14

Provision for Taxation (Net)

93.69

482.66

Provision for Fringe Benefit Tax

18.27

18.27

Provision for Warranty Claim

37.50

37.50

Total

267.06

1,095.98

5 CONTIGENT LIABILITIES AND COMMITMENTS

(To the extent not provided for)

CONTIGENT LIABILITIES

a) Claims against the Company not acknowledged as debt

14.02

14.02

b) Corporate Guarantees

4,800.00

4,800.00

4,814.02

4,814.02

COMMITMENTS

Estimated amount of contracts remaining to be executed on capital account and provided
for (Net of advance)

206.50

16,151.14

(Rs. Lakhs)

6 FIXED ASSETS

GROSS BLOCK

DEPRECIATION

NET BLOCK

Upto 01.10.2012

Additions

Sale of Assets

As on 31.03.2014

Upto 01.10.2012

For the year

Sale of Assets For the year

Upto 31.03.2014

As at 31.03.2014

As at 30.09.2012

TANGIBLE ASSETS:

OWN ASSETS:

Land

4,625.00

-

4,625.00

-

-

0.00

4,625.00

4,625.00

Buildings

7,182.71

1,690.08

8,872.79

998.91

385.24

1,384.15

7,488.64

6,183.80

Plant & Machinery

43,840.82

33,019.78

76,860.60

8,152.96

2,300.90

10,453.86

66,406.74

35,687.86

Computers

171.99

7.83

179.82

152.99

10.81

163.80

16.02

39.15

Electrical Installation

1,825.52

610.56

2,436.08

348.41

125.40

473.81

1,962.27

1,477.11

Office & Lab Equipment

36.94

3.75

40.69

22.19

2.67

24.86

15.83

14.75

Furniture & Fixtures

73.96

2.65

76.61

61.10

4.36

65.46

11.15

12.86

Vehicles

49.89

27.62

12.35

65.16

27.92

8.67

9.50

27.09

38.07

21.97

Low Value Assets

9.73

0.05

9.78

8.90

0.10

9.00

0.78

0.83

Total (A)

57,816.56

35,362.32

12.35

93,166.53

9,773.38

2,828.65

9.50

12,602.03

80,564.50

48,063.33

INTANGIBLE ASSETS:

Computer Software

22.90

-

-

22.90

2.75

4.58

-

7.33

15.57

20.15

Technical Know-how

87.60

-

-

87.60

87.60

-

-

87.60

-

-

Total (B)

110.50

-

-

110.50

90.35

4.58

-

94.93

15.57

20.15

TOTAL (A+B)

57,927.06

35,362.32

12.35

93,277.03

9,863.73

2,833.23

9.50

12,696.96

80,580.07

48,083.48

Previous year figures as at 30.09.2012

27,211.47

30,715.59

0.00

57,927.06

7,714.47

2,149.26

0.00

9,863.73

48,063.33

19,497.00

Capital Work-in-Progress

206.50

16,109.29

6.1 The Gross Block of Fixed Assets include Rs. 9734.45 Lakhs (Previous Year Rs.
9734.45 Lakhs) on account of revaluation of Fixed Assets. Consequent to this revaluation,
there is an additional charge of depreciation of Rs. 364.77 Lakhs (Previous Year Rs.
343.74 Lakhs) and an equivalent amount has been withdrawn from Revaluation Reserve and
credited to the profit and loss account. This has no impact on profit or loss.

i) Net Profit after tax as per statement of profit and loss attrituble to equity
shareholders (in Lakhs)

397.49

(5,898.49)

ii) No of equity shares used as ddenominator for calculating EPS

7,74,72,580

7,74,72,580

iii) Basic and Diluted Earnings per share

0.51

(7.61)

iv) Face value per equity share

5.00

5.00

Total

27 The Companys operations predominantly consist of only one product segment i.e.
Tyres and Tubes. The export sales of the Company are insignificant as compared to total
sales during the year so as to constitute a geographical segment. Therefore, separate
segment information as required in terms of Accounting Standard (AS 17) on Segment
Reporting has not been considered. Further as income from Co-Gen is less than 10% of the
total segment the same has not been considered to be a separate segment

28 The Previous years figures have been re-grouped / re-arranged/restated
wherever considered necessary.

Contributions to Defined Contribution Plan, recognized for the year are as under:

Rs. IN LACS

PARTICULARS

As at 31st March, 2014

As at 30th September, 2012

i. Employers Contribution to Provident Fun

412.28

247.67

ii. Employers Contribution to Superannuation Fund

154.67

91.60

Compensated Absence

The obligation for compensated absences are recognized in the same manner as gratuity.
The liability of Compensated Absence (unfunded) of accumulated privilage, sick and casual
leaves of the employee of the Company as ta 31st March 2014 is given

Rs. IN LACS

PARTICULARS

As at 31st March, 2014

As at 30th September, 2012

Privileged Leave

249.29

235.12

Sick Leave

26.63

25.00

Casual Leave

29.91

27.08

32. Related party disclosures as required as per Accounting Standard (AS-18) on
"Related Part disclosures" are as below:

a) All the Companies in the group as discussed below are directly/indirectly controlled
by the RuiaGroup of Companies under the Leadership of Sri Pawan Kumar Ruia and itsvarious
Subsidiary/ Associate Companies which held the controlling stake in theCompany during the
year ended 31st March 2014. b) Falcon Tyres Rubbers Pvt. Ltd. is 100 % subsidiary of
Falcon Tyres Limited (Falcon Tyres Limited holding 10000 equity shares of Falcon Tyres
Rubber Pvt. Ltd.)

The above (ii) though not required in terms of Accounting Standard 18 on "related
Party Disclosure" has been disclosed in view of disclosure requirement of the SEBI
(Substantial Acquisition of Sharesand takeovers) regulations, 1997 in relation to inter se
transfer of shares among group companies.

d) Key management Personnel:

a) Mr. Pawan Kumar Ruia (Executive Chairman) (Salaried)

b) Mr. Kamal Jiwrajka (Executive Director) (Salaried)

c) Mr. Ashok Gupta (Whole - time Director) (Salaried)

d) Mr. Sunil Bhansali (Executive Director) (Salaried)

Related Party Transaction

A) Sale/Purchase of goods & Service

In Lakh

Party Name

Year Ended

Sales of Goods

Purchase of Goods

Monotona Tyres Limited

Mar-2014

Nil

118.91

Sep- 2012

Nil

47.67

Dunlop Polymers Pvt. Ltd

Mar-2014

4431.00

11451.00

Sep- 2012

4194.47

9354.75

B) Advance Received from parties:

In Lakh

Party Name

March 2014

September 2012

Monotona Tyres Limited

2698.35

Nil

C) Advance Paid to parties:

In Lakh

Party Name

March 2014

September 2012

Monotona Tyres Limited

600.38

Nil

D) Directors Remuneration:

In Lakh

Directors Name

March 2014

September 2012

Mr. Pawan Kumar Ruia

1116.62

649.20

Mr. Kamal Jiwrajka

36.91

Mr. Ashok Gupta

3.45

Mr. Sunil Bhansali

12.67

41.00

33. Particulars in terms of disclosure required as per Clause 32 of the Listing
Agreement:Amount of loans and advances in nature of loan to subsidiaries and associates as
on 31st March 2014

In Lakh

Party Name

Maximum outstanding during the year

Closing Balance

Vidyuth Petrochem Pvt. Ltd.

5500.00

Nil

Dunlop India Limited

2459.18

2494.97

Falcon Tyres Impex Pvt. Ltd.

697.87

Nil

Falcon Tyres Rubbers Pvt. Ltd.

324.94

Nil

Dunlop Comforts Pvt. Ltd.

45.35

Nil

Jessop & Co. Ltd.

16.19

Nil

34 SIGNIFICANT ACCOUNTING POLICIES:

Basis of Accounts

The accounts have been prepared according to historical cost convention, adjusted by
revaluation of fixed assets and governing statutes in India.

Use of Estimates

The preparation of financial statement require management to make estimates and
assumptions that affect the reported amount of assets and liabilities and disclosures
relating to contingent liabilities and assets as at the Balance Sheet date and the
reported amounts of income and expenses during the year.

Provision for contingencies are recorded when it is probable that a liability will be
incurred and the amounts can reasonably be estimated. Differences between the actual
results and estimates are recognized in the year in which the results are known /
materialized.

Sales

Sales are accounted for on passing of title to the customers. Returns and rebates and
discounts against goods sold are recognized as and when ascertained and deducted from
sales. Sales include excise duty.

Export Benefits

Export benefits arising on account of entitlement for duty free imports are accounted
for at the time of receipt of material. Other export benefits are accounted for as and
when accrued.

Fixed Assets

Fixed Assets are stated at cost of acquisition / construction (net of CENVAT/VAT and
other credits) or at revalued amount as the case may be and inclusive of incidental
expenses, erection / commissioning expenses, revamping expenses, pre-operative expenses,
interest, etc. upto the date the asset is put to use.

Depreciation / Amortization

a) The classification of Plant & Machinery into continuous and non-continuous is
carried as per technical certification and depreciation thereon, is provided accordingly,
on straight-line method at the rates prescribed in schedule XIV of the Companies Act,
1956.

b) Additional depreciation attributable to the increase in the value of assets on
account of revaluation is transferred from Revaluation Reserve to the Profit and Loss
account.

c) Computer software, Intangible assets are amortised over the period of six years.

Impairment

Fixed assets are reviewed at each balance sheet date for impairment. In case events and
circumstances indicate any impairment, recoverable amount of fixed assets is determined.
An impairment loss is recognized, whenever the carrying amount of assets either belonging
to Cash Generating Unit (CGU) or otherwise exceeds recoverable amount. The recoverable
amount is the greater of assets net selling price or its value in use. In assessing value
in use, the estimated future cash flow from the use of the assets is discounted to their
present value at appropriate rate. An impairment loss is reversed if there has been a
change in the recoverable amount and such loss either no longer exists or has decreased.
Impairment loss/reversal thereof, which in case of CGU, are allocated to its assets on a
pro rata basis, is adjusted to carrying value of its respective assets.

Investments

Long Term Investments are valued "at cost" except where there is a diminution
in value, other than temporary, in which case, adequate provision is made against such
shortfall.

Inventory

Inventories are valued at lower of cost or estimated net realizable value. Cost of
inventories has been computed on weighted average basis. In case of work in progress and
finished goods cost represents materials, direct labour and appropriate portion of factory
overheads. Adequate provision for defective, slow/non moving, obsolete stocks are made on
the basis of technical evaluation

Transactions in Foreign Currency

Transaction in foreign currency is accounted for at the exchange rate prevailing on the
date of the transaction. Foreign currency monetary assets and liabilities at the year-end
are translated using the closing exchange rates whereas non-monetary assets are translated
at the rate on the date of the transaction. The gain and loss thereon and also on the
exchange differences on settlement of the foreign currency transactions during the year
are recognized as income or expense and are adjusted to the profit and loss account.

Employee Benefits

Employee benefits are accrued in the year in which the employees have rendered
services. Contribution to defined contribution schemes such as Provident Fund,
Superannuation Fund etc. are recognized as and when incurred.

Long-term employee benefits under defined benefit scheme such as gratuity, leave etc.
are determined at the end of the year at present value of the amount payable using
actuarial valuation techniques.

Actuarial gain and losses are recognized in the year when they arise.

Research and development expenditure

Research and development expenditure of revenue nature are charged to the profit &
loss account, while capital expenditures are added to fixed assets in the year in which
they are incurred

Contingencies

Liabilities which are material and whose future outcome cannot be ascertained with
reasonable certainty are treated as contingent and disclosed by way of Notes to the
Accounts.

Borrowing costs

Borrowing costs incurred in relation to the acquisition, construction of assets are
capitalized as part of the costs of such assets upto the date when such assets are ready
for intended use. Other borrowing costs are charged as an expense in the year in which
these are incurred.

Taxes on Income

Provision for Current Income Tax is made on the taxable income using the applicable tax
rates and tax laws. Deferred tax arising on account of timing differences and which are
capable of reversal in one or more subsequent periods is recognized using the tax rates
and tax laws that have been enacted or substantively enacted. Deferred tax assets are
recognized only to the extent that there is reasonable certainty that sufficient future
taxable income will be available against which such deferred tax assets can be realized.
In situation where the company has unabsorbed depreciation or carry forward tax losses,
all deferred tax assets are recognized only if there is virtual certainty supported by
convincing evidence that they can be realized against future taxable profits.

Warranties

Warranty costs are accrued in the year of sale, based on past experience.